Presenter: Martin SearleGeneral Manager, Professional Services

Copyright 2004 SAI Global LimitedABN 67 050 611 642. All rights reserved

A model for Excellence:Integrating ISO 9000, Six Sigmaand Excellence Frameworks26 April 2005

Who is SAI Global?

l Owners and developers of the Australian Business Excellence Framework

l SAI Global Professional Services works with clients to:– Understand excellence models, theories and

concepts– Identify and address performance gaps and

drive organisational excellence– Recognise and reward high performing

organisations

Topics

1. Background to SAI – Global

2. Business Improvement approaches– Some Australian Research– Value of Improvement Models– ISO 9001 – ISO 9004– Six Sigma– Business Excellence Models

3. Summary & Proposed Approach

SAI Global’s Products and Services

l 110 Million dollar businessl Exclusive licence to publish Australian

Standardsl The Region’s largest certification company l Global Professional Services business l Holders of Australian Business Excellence

Modell Significant provider of Six Sigma Services

Type of Formalised Scorecard Approachby size of organisation

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

Other Own System BPR BalancedScorecard

Six Sigma* estimate

ISO/QA TQM/Excellence

Large

Medium

Small

SAI – Global Revenue Stream Training & Consultancy

0

.5

1

1.5

2

2.5

3

2002/3 2003/4 2004/5

Mill

ion

s

ISO

BEA

Six Sigma

4

3.5

Excellence model of progression

BusinessExcellence

Awards

ExcellenceAssessment

Proving Progress beyond ISO Certification

External Business Excellence Assessment Score & Concrete feedback

Driving Excellence5 – Element Model towards Business Excellence

Six Sigma application

ISO 9004Quality Management Guidelines - Business Management Systems View

ISO 9001 : 2000Quality Management System- Requirements

QualityAssurance

Business Improvement

Recognition of Excellence

External Assessment

BusinessExcellence

Product and Product and Service Service DeliveryDelivery

ComplianceCompliance

Building a Building a Responsive Responsive OrganisationOrganisation

Driving cultural change

QA

Business

Improvement

Business

Excellence

Benefits: ISO 9001 – ISO 9004

l Process focusl Controll Systemsl Continual Improvement through

auditl Framework for organisational

excellence (ISO 9004)

Benefits: Business Excellence Models

l Systems Thinkingl Deployment of Visionl Holistic approachl Cultural Changel Improvement across all 7 categoriesl Self Assessmentl Continuous Improvement

l Customer Alignmentl Financial returnl Accelerationl Discipline and Rigourl Facts and Datal Measurement & improvement

Benefits: Six Sigma

ISO 9004 alignment with ABEF

ISO 9004 Principles

• Customer Focus• Leadership• Involvement of People• Process Approach• System Approach• Continual Improvement• Factual Approach• Supplier Relationships

Six Sigma alignment with ABEF

Facts & DataProject charter & documentation

DFSSVOC

Change AccelerationSponsorsGreen Belts & Black Belts

Charter Vision

VOC CTQ’s

Prioritisation CTS’s

Prioritisation CTS’s

Policies

Processes

Procedures

Documentation

ISO 9001 Alignment with ABEF

Towards Excellence Criteria

l Create a value proposition

l Generate engagement

l Provide Improvement Toolsets

l Measure Improvement

Model Deployment Criteria

l Create a Value Proposition90019004Excellence modelsSix Sigma

l Generate Engagement90019004Excellence modelsSix Sigma

Low Medium High

Low Medium High

Model Deployment Criteria

l Provide Improvement Toolsets90019004Excellence modelsSix Sigma

l Measure Improvement90019004Excellence modelsSix Sigma

Low Medium High

Low Medium High

Towards Excellence - Summary

Strategy1. Create a value proposition

– ISO 9004– Excellence Model– Commit to a $ return (Six Sigma)

2. Develop a Systems Approach or Apply Systems Thinking– Map processes– Identify projects– Confirm accountabilities– Benchmark against Excellence model score

3. Generate Engagement– PDCA train & engage– DMAIC– Driving Excellence programs– Anchor Improvement

4. Measure & Sustain Improvement– Asses $ project return– External Assessment Excellence Model– Certify management systems

Time to implement

Organisational Maturity

l Understanding of “value”l Business improvement competenciesl Organisational Stability

– Structure– Social– Financial

l Process Identificationl Leadership commitment

Required Maturity Matrix

Time to implement

Maturity

High

Business ExcellenceSelf Assessment

ISO 9001

SPCPDCA

Driving Business ExcellencePrograms

CMM ISO9004

Design for Six Sigma

Business Excellence Principles

Six Sigma

Long

Only one Only one possible view!possible view!